How to Calculate Employees Based on Turnover Rate

One of the best ways of predicting your staffing needs going forward is to analyze your company's history of employee turnover rates. You'll then be in a position to forecast your likely recruitment spending and predict what cover you're going to need on an ongoing basis as your workers leave. Studying your staff turnover numbers can also help you understand why your employees are leaving.

Monthly Staff Turnover

  1. Calculate the number of people who left your employment over the past month. Divide this number by your total number of employees, excluding any new appointments you've made as a result of staff attrition. Multiply the number you're left with by 100 to leave you with your staff turnover rate. So, if six members of your staff left in the last month and you have a total of 150 employees, divide six by 150. This will leave you with 0.04. Multiply this by 100 to give you 4 percent. Your monthly staff turnover is 4 percent of your workforce. You can also use this formula to calculate quarterly and annual staff turnover.


  1. Once you've made this calculation, you can use the results to predict your likely spending on recruitment and training in the coming period. If you're consistently losing 4 percent of your workforce, you can forecast what resources you'll need to hire replacements and work out how you can cover the reduction in employee numbers while you do so.

First Year Turnover Rates

  1. If you want to find out what proportion of your leavers are resigning in their first year, calculate the number of employees who have left before working a full 12 months in a given period and divide this by the total number of people who leave in the same time frame. So, if 17 employees have left before working for a year in the last six months out of a total of 45 who quit, divide 17 by 45 and multiply the result by 100. This would leave you with 37.7 percent.


  1. If you find your turnover rates are high and a lot of your workers are resigning before working for you for a year, you'll probably want to determine why this is happening. Recruitment and training are not cheap, and it's disruptive for your business to be understaffed while you're looking for replacements. Ask your leavers on their last day to complete a questionnaire about why they chose to leave. Ask employees how you could best boost retention. You may find that giving your workers a slight pay raise or introducing flexible working hours could end up saving you money on recruitment.